Markets : Transparency and the Corporate Bond Market

摘要: For decades, corporate bonds primarily traded in an opaque environment. Quotations, which indicate prices at dealers are willing to transact, were available only market professionals, most often by telephone. Prices bond transactions completed not made public. The U.S. became much more transparent with the introduction of Transaction Reporting and Compliance Engine (TRACE) July 2002. Beginning that date, required report all trades publicly issued National Association Security Dealers, turn transaction data In this paper, we describe trading protocols assess impact increase transparency on market. We review how TRACE has affected costs investors paid for their transactions. canvass opinions a variety finance professionals consider articles trade press obtain broader view